JP Morgan
Public Statements Risk
Systemically important, banks are both controversial and high profile. Jamie Dimon is one of the most outspoken bank leaders in the world and one the media loves to cover. Even though he's good at navigating contentious issues like ESG, his visibility and willingness to opine means everything he says is a widely covered public statement. Similarly, the website and shareholder letters include numerous references to DEI and ESG, including subpages specific to racial demographic and sexual orientation.

Political Contributions Risk
Goods Unite Us data demonstrates that JP Morgan's total contributions are above average for major banks, and the sector's contributions favor Republicans, while JP Morgan favors Democrats, which raises the pH. The NYT has also reported that JP Morgan and four other large banks were banned from doing business in West Virginia because they sharply reduced their financing for coal projects.

Political Dichotomy Risk
Most of JP Morgan's revenue comes from its consumer and community banking and corporate and investment banking divisions. In addition, most of the bank's revenue comes from net interest income, asset management, and principle transactions. In terms of credit exposure, only 3% of JP Morgan's total revenue comes from State and municipal governments, which insulates them fairly well from a Florida Blackrock situation. Moreover, approximately 20% of JP Morgan's revenue comes from individuals, consumers, and retail, meaning a boycott would put a dent in the business but probably would not have a large material impact.

Associational Risk
There have been some recent headlines about relations between JP Morgan and Jeffrey Epstein and Kanye West, but JP Morgan typically cuts ties/closes accounts with high-risk people as soon as problems arise. Dimon was on Trump's business council until 2017 but ties have also been severed there. In recent news, there is no associational risk.

Brand Visibility Risk
As a massive bank, outside of a 2008-style event, they are relatively insulated from scandal. The banking industry has historically been fairly well insulated from scandal. Even all of the widespread press about Wells Fargo's fraudulent activities, for example, did not have a huge impact on Wells Fargo's financial viability.
